NebraskaLB1126109th Legislature 1st and 2nd SessionslegislatureWALLET

Adopt the Infrastructure Development Investment Program Act and change and eliminate provisions relating to the Rural Road Improvement District Act, the Political Subdivisions Construction Alternatives Act, the Transportation Innovation Act, the Motor Vehicle Safety Responsibility Act, the Nebraska Rules of the Road, intrastate medicaid nonemergency medical transportation services, and wireless service surcharges

Sponsored By: Mike Moser

Signed by Governor

Transportation and Telecommunications Committee

Personalized for You

How does this bill affect your finances?

Personalize government policy and PRIA will tell you what this bill means for your household, plus every other piece of legislation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.

Bill Overview

Analyzed Economic Effects

21 provisions identified: 4 benefits, 3 costs, 14 mixed.

Tax‑free income on program bonds

Obligations issued under the state’s infrastructure investment program, and income from selling them, are exempt from state and local taxes. The program must keep prudent debt‑service coverage and cannot issue debt beyond pledged revenues. This helps investors and aims to keep the program’s bonds stable.

8% interest on late county payments

For county road contracts, the county may pay with progress warrants for up to 95% of work done. If payment is late, the county pays 8% yearly interest on amounts due. Interest starts 45 days after the engineer certifies the work and the board approves it, and runs until the warrant is tendered. This improves contractor cash flow on public work.

New state financing for transportation projects

The law creates a new Infrastructure Development Investment Program at the Department of Transportation, run by the State Highway Commission. Cities, counties, agencies, and private partners can apply for help with roads, bridges, transit, rail, airports, ports, and bike or walking projects. The fund can offer loans, credit support, reserves, and interest subsidies. The Commission sets interest rates and may discount them for statewide or distressed‑area projects. Applicants can be charged a fee up to $1,000. Loan terms are capped at the asset’s useful life or 30 years unless federal law or the Commission allows longer. Payments can start after construction or when the project earns revenue. Borrowers can prepay without penalty unless a bond covenant requires one.

Oversize moves: higher fees and new steps

Oversize and overweight moves face set fees and new steps. A single‑trip permit is capped at $50; continuous permits cost $50 for 90 days, $100 for 180 days, or $200 for one year. Single‑trip superloads cost $250 (up to 300,000 lbs), $400 (300,001–500,000 lbs), or $800 (over 500,000 lbs), plus the department’s direct costs. Moving a building or object on special dollies costs up to $50. Before a permit issues, your vehicle must be registered for the permit’s maximum weight. The DOT and State Patrol cannot issue certain permits for city streets or county roads. For loads 16 feet high or more, your application must include a sworn statement that you contacted all affected electric utilities. The law also defines a Superload as over 16 feet wide, over 191 inches high, over 150 feet long, or over 160,000 pounds.

Rural road districts: owner rights and costs

Counties can form rural road districts and build or improve roads, bridges, and drainage. Owners of at least 25% of the area can petition to start or change a district, and owners of more than 50% can block a new district. The county must publish notice for two weeks and post three notices before approving special assessments. If assessments are levied, they are due 50 days after levy, with an option to pay over up to 20 years; late installments earn interest. A special maintenance levy can be added if owners of over 50% ask for it, up to $0.035 per $100 of taxable value. The county may acquire land (including by eminent domain) and charge project costs to the district.

Rural road projects: who pays and how

Counties must keep a rural road fund for each district or one fund for all districts. The fund holds county transfers, special assessments, special levies, and bond proceeds. Counties may sell general‑obligation bonds that mature in 20 years or less to pay project costs. If assessments and contributions are not enough, the county must levy a tax on all taxable property to cover bond payments. These tools speed road work but can raise property bills in the district and, if needed, countywide.

How Medicaid ride rates are set

Carrier pay for Medicaid trips cannot be higher than three times the rate in section 81-1176. This cap does not apply to trips entirely inside the origin city or village, trips for a disabled person in an ADA‑compliant vehicle, or trips under subsection (3) of section 75-311. Rates in agreements with state agencies are not regulated by the Public Service Commission, and PSC does not regulate rates for licensed or designated NEMT providers.

Licenses and rules for Medicaid ride providers

Beginning January 1, 2027, the Transportation Commission licenses companies to provide Medicaid nonemergency rides inside the state. To get a one‑year license, an applicant must be fit, willing, and able, and must follow the correct statutes for either motor carriers or TNCs. Licenses renew yearly, and the Commission may hold a hearing before issuing one. The Commission may suspend or revoke a license for rule violations after written notice at least 15 days before a hearing. The Public Service Commission also issues these licenses under state law.

Licenses required for Medicaid ride providers

Beginning January 1, 2027, anyone providing in‑state nonemergency medical rides for the health department, its plans, or their agents must hold a Nebraska Transportation Commission license. Transportation network companies and their drivers must also be licensed; licensed TNCs do not need a separate commission authorization, but others must get authorization unless existing carriers can meet the need. Licensed providers must file and maintain bonds or insurance under section 75-307 and keep proof at their main office. The license or renewal fee is capped at $250. DHHS and managed care plans may contract with carriers that hold a commission designation or license, and those carriers must meet DHHS training, driver, and background‑check rules and commission insurance and equipment standards.

More paths to bid, $500 review fees

The DOT can waive prequalification for jobs of $250,000 or less, emergencies, and routine fixes. When scoring public‑private proposals, plans that use small businesses get a preference if they can compete. Local governments must set clear rules to take and review unsolicited proposals, and must allow time for competing proposals when one is pursued. The DOT must also allow competing proposals in that case. Agencies may charge up to $500 to review an unsolicited proposal and up to $500 for each competing proposal.

Wireless surcharge and 911 fee laws repealed

The law repeals Nebraska rules for wireless and prepaid 911 surcharges in several statutes. Carriers, sellers, and customers no longer follow those specific state surcharge laws. Replacement fees or rules are not set in this section.

More PPP and design-build for projects

The Transportation Department may use appropriated money to review and carry out unsolicited proposals and can contract for them. Cities and counties may use bonded or other raised funds to review or implement unsolicited proposals and may enter public‑private partnerships if their boards find it is in the public interest. Political subdivisions can use design‑build, construction manager at risk, or PPP methods for water, wastewater, utility, or sewer projects. Metropolitan‑class cities may use these tools to meet combined sewer overflow rules. DOT guidelines must include steps to check that design‑build projects meet performance goals.

New rules for public-private projects

Local governments can use public‑private partnerships and other alternative delivery methods, but they must pass a two‑thirds resolution finding it is in the public interest. Local road, street, and highway construction cannot use these methods under the local alternatives act. Agencies may allow project scope and price changes after award; for design‑build and CM at risk they cannot go beyond the RFP scope, but this limit does not apply to P3s. Political subdivisions may accept unsolicited P3 proposals, while the state DOT cannot accept unsolicited proposals for minor road or bridge maintenance. P3 proposals must include financing and any future public funds needed, and selection rules set weighted scoring with public records.

Revenue bonds back projects, not taxpayers

The program can issue revenue bonds and notes to finance projects. Pledged repayments and earnings secure the debt, and liens take effect when pledged. Each bond issue must be approved by the Commission and can run up to 40 years; refundings cannot outlast the asset’s useful life. These are special, limited obligations, so investors cannot force state tax levies or general‑fund payments. Sales can be public or private, and trustees have enforcement powers on default. Obligations must meet federal securities rules and the January 1, 2026 arbitrage limits. Banks, insurers, and pensions may hold them and use them as deposit security. The program must keep bond service and reserve accounts and set aside enough each year to pay principal and interest.

Fair, transparent rules for project funding

The Commission sets bylaws, scoring, and controls for the program and must publish clear rules by July 1, 2027. Projects are ranked on jobs, safety, readiness, public benefit, local support, leverage, and ability to repay. The program must keep separate accounts and follow federal and state rules. It must run a public website. It must keep GAAP books, get an independent audit each year, and post an annual report by November 1.

Human trafficking training for commercial drivers

Beginning January 1, 2027, commercial driver training must include at least 30 minutes on human trafficking. The Attorney General issues the curriculum by December 1, 2026 and updates it at least every three years. This adds time and small costs to training, aimed at public safety.

Carriers may need bonds or insurance

The Transportation Commission can require certain motor carriers to post a surety bond, carry insurance, or qualify as self‑insured, in amounts it sets. This can include household‑goods and railroad‑employee carriers and carriers licensed to provide Medicaid rides. The security may be used to pay shippers or consignees for property loss or damage.

Accident rules: $2,000 damage and deposit

DMV actions after a crash now use a higher dollar trigger. If someone is hurt, killed, or property damage to one person is $2,000 or more, DMV may suspend driving privileges and require security within 90 days of the report. The minimum security deposit under the Safety Responsibility Act is now at least $2,000.

New traffic rules for drivers and bikes

Bicycle‑specific traffic signals now set when riders may go, yield, turn, or stop. The accident report threshold rises to $2,000 in damage or any injury or death, and reports are due within ten days. Age or year‑of‑birth in required accident reports can be released under public records law. The law also removes one older traffic statute section.

Resident advisors for rural road districts

When a county creates a rural road improvement district with special assessments, it must appoint at least three residents to advise on the project and financing. Members are unpaid but can be reimbursed for expenses and mileage at the state rate. These reimbursements are added to the improvement cost and may raise the amount assessed.

Rules on loan security and defaults

Political subdivisions apply on department forms, and loan contracts are binding. Borrowers must repay from the pledged sources named in the contract. Loans must be secured by project revenues, other legal sources, or collateral; the Commission may require reserves, guarantees, or state‑aid intercepts. If a payment is missed, the program can use reserves, intercept state aid, or ask the Legislature to redirect appropriations. The program may also subordinate its lien and adjust repayment to keep a project viable, if allowed by bond covenants and federal rules.

Sponsors & Cosponsors

Sponsor

  • Mike Moser

    Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 386 • No: 79

legislature vote • 4/10/2026

Final Reading

Yes: 42 • No: 7

legislature vote • 4/1/2026

Vote

Yes: 30 • No: 11 • Other: 8

legislature vote • 4/1/2026

Vote

Yes: 18 • No: 25 • Other: 6

legislature vote • 3/17/2026

Vote

Yes: 35 • No: 0 • Other: 14

legislature vote • 3/17/2026

Vote

Yes: 35 • No: 0 • Other: 14

legislature vote • 3/17/2026

Vote

Yes: 36 • No: 0 • Other: 13

legislature vote • 3/17/2026

Vote

Yes: 36 • No: 0 • Other: 13

legislature vote • Unknown

Vote

Yes: 35 • No: 0 • Other: 14

legislature vote • Unknown

Vote

Yes: 36 • No: 0 • Other: 13

legislature vote • Unknown

Vote

Yes: 35 • No: 0 • Other: 14

legislature vote • Unknown

Vote

Yes: 30 • No: 11 • Other: 8

legislature vote • Unknown

Vote

Yes: 18 • No: 25 • Other: 6

Actions Timeline

  1. Provisions/portions of LB1180 amended into LB1126 by AM2432

    4/17/2026legislature
  2. Provisions/portions of LB1107 amended into LB1126 by AM2432

    4/17/2026legislature
  3. Provisions/portions of LB1073 amended into LB1126 by AM2432

    4/17/2026legislature
  4. Provisions/portions of LB576 amended into LB1126 by AM2752

    4/17/2026legislature
  5. Presented to Governor on April 10, 2026

    4/17/2026legislature
  6. Approved by Governor on April 14, 2026

    4/14/2026legislature
  7. President/Speaker signed

    4/10/2026legislature
  8. Passed on Final Reading 42-7*-0

    4/10/2026legislature
  9. Dispensing of reading at large approved

    4/10/2026legislature
  10. Enrollment and Review ST82 recorded

    4/7/2026legislature
  11. Enrollment and Review ST82 filed

    4/7/2026legislature
  12. Placed on Final Reading with ST82

    4/7/2026legislature
  13. Advanced to Enrollment and Review for Engrossment

    4/1/2026legislature
  14. Dungan MO561 failed

    4/1/2026legislature
  15. Dungan MO561 pending

    4/1/2026legislature
  16. Dungan MO561 Reconsider the vote taken on AM2752 filed

    4/1/2026legislature
  17. Dorn AM2752 adopted

    4/1/2026legislature
  18. Kauth FA786 withdrawn

    4/1/2026legislature
  19. Enrollment and Review ER159 adopted

    4/1/2026legislature
  20. Enrollment and Review ER159 filed

    3/25/2026legislature
  21. Placed on Select File with ER159

    3/25/2026legislature
  22. Dorn AM2752 filed

    3/18/2026legislature
  23. Advanced to Enrollment and Review Initial

    3/17/2026legislature
  24. Transportation and Telecommunications AM2432 adopted

    3/17/2026legislature
  25. DeBoer AM2627 adopted

    3/17/2026legislature

Bill Text

  • Introduced

    1/20/2026

  • Enrolled / Slip Law

  • Final / Enacted

Related Bills

Back to State Legislation